197Detention of ship where maritime levies not paid or receipt not produced

1. Where, on demand being made by any person for the payment of any maritime levy,—

2. the levy is not paid; or
3. evidence for the earlier payment of the levy is not produced,—
the Director or the chief executive of the New Zealand Customs Service may detain the ship concerned until the levy is paid or the receipt is produced.

4. If payment of the levy is not made, or evidence of the earlier payment not produced, within the period of 28 days next following the detention, the Director may at any time during the continuance of the non-payment, or non-production, sell the ship, and apply the proceeds in payment of that levy, together with all reasonable expenses incurred by the Director under this subsection, paying the surplus (if any), on demand, to the owner or other person for the time being responsible for the management of the ship, or the master of the ship.

5. Where a ship is detained or sold under this section, the Crown, the Director, and the chief executive of the New Zealand Customs Service, or any person acting under their direction or authority under this section shall not be liable for any loss or damage arising directly or indirectly from the detention or sale of the ship unless it is proved to the satisfaction of a court that the person acted in bad faith.

6. The chief executive of the New Zealand Customs Service shall advise the Director of every ship detained pursuant to subsection (1) by the chief executive or by a person acting under the chief executive’s direction or authority.